The Highest Cost Audit Will Be Incurred When the Auditor

Multiple Choice

The highest cost audit will be incurred when the auditor expected that the internal control system would:

A) be effective, but the auditor found extensive control test deviations and significant errors during tests of transactions.
B) have few effective controls, but client's personnel were well-trained and knowledgeable.
C) have few effective controls, and tests of balances found many errors.
D) be very sophisticated, and the tests of controls confirmed this.